Seek Returns logo

AZO vs. GM: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at AZO and GM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolAZOGM
Company NameAutoZone, Inc.General Motors Company
CountryUnited StatesUnited States
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustrySpecialty RetailAutomobiles
Market Capitalization69.56 billion USD54.05 billion USD
ExchangeNYSENYSE
Listing DateApril 2, 1991November 18, 2010
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of AZO and GM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AZO vs. GM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAZOGM
5-Day Price Return4.15%0.62%
13-Week Price Return7.17%13.47%
26-Week Price Return19.84%18.54%
52-Week Price Return31.08%24.06%
Month-to-Date Return10.34%6.43%
Year-to-Date Return29.86%6.57%
10-Day Avg. Volume0.10M6.28M
3-Month Avg. Volume0.13M9.85M
3-Month Volatility22.44%33.97%
Beta0.381.36

Profitability

Return on Equity (TTM)

AZO

249.27%

Specialty Retail Industry

Max
61.19%
Q3
37.24%
Median
18.81%
Q1
8.92%
Min
-13.03%

AZO’s Return on Equity of 249.27% is exceptionally high, placing it well beyond the typical range for the Specialty Retail industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

GM

7.21%

Automobiles Industry

Max
25.70%
Q3
12.88%
Median
6.92%
Q1
0.71%
Min
-15.89%

GM’s Return on Equity of 7.21% is on par with the norm for the Automobiles industry, indicating its profitability relative to shareholder equity is typical for the sector.

AZO vs. GM: A comparison of their Return on Equity (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Net Profit Margin (TTM)

AZO

13.56%

Specialty Retail Industry

Max
21.28%
Q3
10.68%
Median
6.08%
Q1
2.43%
Min
-4.54%

A Net Profit Margin of 13.56% places AZO in the upper quartile for the Specialty Retail industry, signifying strong profitability and more effective cost management than most of its peers.

GM

2.54%

Automobiles Industry

Max
9.92%
Q3
5.78%
Median
3.23%
Q1
0.11%
Min
-5.31%

GM’s Net Profit Margin of 2.54% is aligned with the median group of its peers in the Automobiles industry. This indicates its ability to convert revenue into profit is typical for the sector.

AZO vs. GM: A comparison of their Net Profit Margin (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Operating Profit Margin (TTM)

AZO

19.63%

Specialty Retail Industry

Max
33.35%
Q3
15.84%
Median
9.34%
Q1
3.83%
Min
-8.97%

An Operating Profit Margin of 19.63% places AZO in the upper quartile for the Specialty Retail industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

GM

3.42%

Automobiles Industry

Max
13.07%
Q3
7.22%
Median
5.29%
Q1
0.43%
Min
-4.46%

GM’s Operating Profit Margin of 3.42% is around the midpoint for the Automobiles industry, indicating that its efficiency in managing core business operations is typical for the sector.

AZO vs. GM: A comparison of their Operating Profit Margin (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Profitability at a Glance

SymbolAZOGM
Return on Equity (TTM)249.27%7.21%
Return on Assets (TTM)14.37%1.67%
Net Profit Margin (TTM)13.56%2.54%
Operating Profit Margin (TTM)19.63%3.42%
Gross Profit Margin (TTM)52.95%10.97%

Financial Strength

Current Ratio (MRQ)

AZO

0.84

Specialty Retail Industry

Max
2.83
Q3
1.89
Median
1.39
Q1
1.11
Min
0.64

AZO’s Current Ratio of 0.84 falls into the lower quartile for the Specialty Retail industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

GM

1.22

Automobiles Industry

Max
2.19
Q3
1.54
Median
1.26
Q1
1.09
Min
0.48

GM’s Current Ratio of 1.22 aligns with the median group of the Automobiles industry, indicating that its short-term liquidity is in line with its sector peers.

AZO vs. GM: A comparison of their Current Ratio (MRQ) against their respective Specialty Retail and Automobiles industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AZO

37.81

Specialty Retail Industry

Max
3.02
Q3
1.57
Median
0.64
Q1
0.20
Min
0.00

With a Debt-to-Equity Ratio of 37.81, AZO operates with exceptionally high leverage compared to the Specialty Retail industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

GM

2.05

Automobiles Industry

Max
2.34
Q3
1.13
Median
0.58
Q1
0.28
Min
0.06

GM’s leverage is in the upper quartile of the Automobiles industry, with a Debt-to-Equity Ratio of 2.05. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

AZO vs. GM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Specialty Retail and Automobiles industry benchmarks.

Interest Coverage Ratio (TTM)

AZO

8.39

Specialty Retail Industry

Max
48.12
Q3
35.95
Median
14.13
Q1
3.61
Min
-36.00

AZO’s Interest Coverage Ratio of 8.39 is positioned comfortably within the norm for the Specialty Retail industry, indicating a standard and healthy capacity to cover its interest payments.

GM

25.00

Automobiles Industry

Max
77.87
Q3
42.86
Median
13.88
Q1
2.13
Min
-49.07

GM’s Interest Coverage Ratio of 25.00 is positioned comfortably within the norm for the Automobiles industry, indicating a standard and healthy capacity to cover its interest payments.

AZO vs. GM: A comparison of their Interest Coverage Ratio (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Financial Strength at a Glance

SymbolAZOGM
Current Ratio (MRQ)0.841.22
Quick Ratio (MRQ)0.121.05
Debt-to-Equity Ratio (MRQ)37.812.05
Interest Coverage Ratio (TTM)8.3925.00

Growth

Revenue Growth

AZO vs. GM: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AZO vs. GM: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AZO

0.00%

Specialty Retail Industry

Max
6.53%
Q3
2.69%
Median
1.08%
Q1
0.00%
Min
0.00%

AZO currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

GM

1.17%

Automobiles Industry

Max
10.71%
Q3
5.39%
Median
3.14%
Q1
0.00%
Min
0.00%

GM’s Dividend Yield of 1.17% is consistent with its peers in the Automobiles industry, providing a dividend return that is standard for its sector.

AZO vs. GM: A comparison of their Dividend Yield (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Dividend Payout Ratio (TTM)

AZO

0.00%

Specialty Retail Industry

Max
165.81%
Q3
80.94%
Median
31.61%
Q1
0.00%
Min
0.00%

AZO has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

GM

6.61%

Automobiles Industry

Max
114.43%
Q3
59.30%
Median
37.15%
Q1
16.40%
Min
0.00%

GM’s Dividend Payout Ratio of 6.61% is in the lower quartile for the Automobiles industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

AZO vs. GM: A comparison of their Dividend Payout Ratio (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Dividend at a Glance

SymbolAZOGM
Dividend Yield (TTM)0.00%1.17%
Dividend Payout Ratio (TTM)0.00%6.61%

Valuation

Price-to-Earnings Ratio (TTM)

AZO

27.06

Specialty Retail Industry

Max
48.56
Q3
29.15
Median
22.00
Q1
15.46
Min
7.95

AZO’s P/E Ratio of 27.06 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

GM

11.38

Automobiles Industry

Max
27.69
Q3
19.99
Median
9.85
Q1
6.60
Min
4.25

GM’s P/E Ratio of 11.38 is within the middle range for the Automobiles industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AZO vs. GM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Price-to-Sales Ratio (TTM)

AZO

3.67

Specialty Retail Industry

Max
5.08
Q3
2.69
Median
1.23
Q1
0.48
Min
0.09

AZO’s P/S Ratio of 3.67 is in the upper echelon for the Specialty Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

GM

0.29

Automobiles Industry

Max
1.52
Q3
0.84
Median
0.41
Q1
0.23
Min
0.08

GM’s P/S Ratio of 0.29 aligns with the market consensus for the Automobiles industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AZO vs. GM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Price-to-Book Ratio (MRQ)

AZO

94.97

Specialty Retail Industry

Max
16.93
Q3
7.98
Median
3.69
Q1
1.79
Min
0.21

At 94.97, AZO’s P/B Ratio is at an extreme premium to the Specialty Retail industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

GM

0.71

Automobiles Industry

Max
4.25
Q3
2.00
Median
0.87
Q1
0.46
Min
0.19

GM’s P/B Ratio of 0.71 is within the conventional range for the Automobiles industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

AZO vs. GM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Specialty Retail and Automobiles industry benchmarks.

Valuation at a Glance

SymbolAZOGM
Price-to-Earnings Ratio (TTM)27.0611.38
Price-to-Sales Ratio (TTM)3.670.29
Price-to-Book Ratio (MRQ)94.970.71
Price-to-Free Cash Flow Ratio (TTM)34.6442.18